New Tax Tables have been adjusted. File your new W-4

The Tax Cuts and Jobs Act made major changes to the tax law. Because of this, you and your employees should do a paycheck checkup using the Withholding Calculator on IRS.gov and, if necessary, complete a new W-4 form. The calculator will help determine the right amount of withholding and can help prevent having too little (or too much) tax withheld.Recent changes affecting withholding include:

Reduced tax rates

Elimination of personal exemptions

Increased standard deductions: $12,000 for singles, $18,000 for heads of households and $24,000 for married couples filing jointly

Increased child tax credit: $2,000 per qualifying child and a new $500 credit for other qualifying dependents

Changes to itemized deductions

A paycheck checkup is especially important if you or your employees:

Are a two-income family

Have two or more jobs at the same time or who only work part of the year

Claim credits like the child tax credit

Have dependents age 17 or older

Itemized deductions in 2017

Have high income or a complex tax return

Have a large tax refund or tax bill for 2017

For more information, please see IRS.gov/taxreform. For updated withholding tables, please visit the IRS newsroom and the IRS withholding table FAQs. ​We hope this information helps you stay in compliance and thank you for being a valued client at McVay Business Services. 850-725-5696 - www.PensacolaFLTax.com - Mike@MikeMcVay.com​